Pakistan Gears Up for 5G: A New Era for Mobile Technology and Manufacturing
Pakistan is on the cusp of a significant technological leap with the upcoming 5G spectrum auction scheduled for March 10, 2026. This event isn’t just about faster internet speeds; it’s a catalyst for broader economic and industrial transformation, particularly within the mobile phone manufacturing sector.
The Spectrum Auction and its Ripple Effects
The auction of spectrum across multiple bands is expected to not only expand 4G coverage but also fuel demand for smartphones, including 5G-compatible devices. This timing coincides with the finalization of the Mobile and Electronic Devices Manufacturing Policy 2026-33, a strategic move by the Ministry of Industries and Production.
Boosting Local Manufacturing with the New Policy
The new policy, spearheaded by Special Assistant to the Prime Minister Haroon Akhtar Khan, aims to bolster the country’s industrial sector. It prioritizes mobile phone manufacturing as a starting point, recognizing the pervasive influence of electronics in modern life. Industry stakeholders have welcomed the policy, anticipating increased demand following the spectrum auction.
Amir Allawala, a senior member of the Pakistan Mobile Phone Manufacturers Association, highlighted the policy’s opportune timing. He explained that telecom operators will require approximately 5-6 months to establish the necessary infrastructure for 5G services in urban areas and expand 4G coverage in other cities and towns. Simultaneously, the mobile phone industry needs a similar timeframe to transition towards 5G device production.
Incentives for Exports and Local Production
A key component of the policy is an 8% incentive on mobile phone exports. It also includes a reduction in customs duties on imported parts, while increasing duties on the import of completely built-up (CBU) mobile phones and accessories. This is designed to encourage local assembly and manufacturing, reducing reliance on imports.
Currently, Pakistan has 37 licensed mobile set manufacturers producing 40 million mobile units annually. In 2025, the country assembled 30.2 million phone sets, with feature phones accounting for around 40% of the total. With local consumption potentially reaching 40 million sets per year, export incentives are considered crucial for industry growth.
Streamlining Implementation with a Dedicated Cell
To ensure effective implementation and coordination, the policy recommends establishing a dedicated Mobile & Electronics Devices Cell within the Engineering Development Board (EDB).
The Path to 6G and Future-Proofing
While the immediate focus is on 5G, the policy also acknowledges the importance of future-proofing the industry. The long-term vision includes preparing for the eventual transition to 6G technologies.
FAQ
Q: When is the 5G spectrum auction scheduled to take place?
A: March 10, 2026.
Q: What is the main goal of the new Mobile and Electronic Devices Manufacturing Policy?
A: To boost local manufacturing of mobile phones and electronic devices, and to promote exports.
Q: What incentives are offered under the new policy?
A: An 8% incentive on mobile phone exports and reduced customs duties on imported parts.
Q: How many mobile phone sets were assembled in Pakistan in 2025?
A: 30.2 million.
Q: What is the expected timeframe for the rollout of 5G services after the spectrum auction?
A: 3-6 months.
Did you know? Pakistan assembled around 30.2 million phone sets in 2025, demonstrating a growing local manufacturing capability.
Pro Tip: Preserve an eye on announcements from the Pakistan Telecommunication Authority (PTA) for updates on the spectrum auction and 5G rollout plans.
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